Flight Centre has purchased The Abbey Travel Group’s Dublin-based corporate travel manager, Travelplan Corporate for an undisclosed sum. 

Travelplan Corporate is already part of Flight Centre’s corporate arm, the FCm travel management network, as a licensee. 

The travel chain’s travel group managing director, Graham Turner said the acquisition presented a cost-effective, profitable and low-risk entry to Ireland, where Flight Centre plans to continue to cement its presence.

According to BRW he said: “We know the business and its ­culture well, given its long-standing involvement with FCm as a licensee, and can see real opportunities to work with Travelplan’s people to expand in the years ahead and to grow bottom-line profits.

“In ­particular, we can see great potential in developing close ties between Flight Centre’s UK and Ireland corporate travel businesses and implementing the strategies that have underpinned the company’s success in the UK.” 

Turner added a complementary retail travel business in Ireland could be on the cards – the acquisition doesn’t include Abbey Travel’s retail arm.

It’s expected the acquisition will boost Flight Centre’s annual profit – according to BRW Travelplan Corporate will report revenue of nearly €30 million ($44.8 million) this year.

The UK market is proving particularly lucrative for the travel chain – after Australia, Flight Centre’s British division was the second best performer in the first half.

It posted earnings before interest and tax of $16.3 million and its total transaction values reached $694 million.

The company predicts its full-year profit in the UK before tax to be similarly positive – it’s expected to reach between $370 million and $385 million, which equates to a growth of between eight and 12 percent. 

“Generally speaking, the business continues to trade solidly and we are seeing similar trends to the patterns reported at the half-year,” Turner said.

It comes as no surprise, then, that Flight Centre has chosen the UK to expand FCm on an international scale – it’s the first time it’s done so since launching in Dubai in 2007.

Travelplan Corporate will continue to operate under its existing business name, FCm Ireland.